The Indonesian AIDS Coalition (IAC) was founded in 2011. While still young, we have made significant leaps and bounds in our performance. Our goal is to keep striving for improvement. IAC has developed into an organization PLWHA capable of mobilizing the community to conduct campaigns and advocacy to fulfil the basic rights of PLWHA and groups affected by AIDS. The IAC has developed a communication platform that encourages collaboration across key affected populations on cross-cutting issues.
IAC’s supporting partners include Ministry of Health (MoH), Global Fund, National AIDS Commission, the Ford Foundation, Asia Pacific Network for PLHIV (APN+), HIVOS, UNAIDS, Treat Asia and other partners that we cannot mention one by one.
Audit objective will be as follows:
- • To determine whether financial statement as a whole is free from material misstatement.
- • To determine whether the accounting system provides adequate and accurate financial statement in accordance with Indonesian Governmental Standard Accounting for Non-Profit Organization (ISAK 35), General Accepted Accounting Principle (GAAP) and International Standard on Auditing (ISA).
- • To determine whether financial transactions are complied with the organization financial policy and how effective the organization use the resources.
- • Provide improvement recommendation to management.
- 3. Scope of work
The scope of work auditor is to exercise the adequacy of the organization financial and accounting system to provide the accurate and adequate financial information. This includes:
- • Internal control
Exercise the selected transaction to see how internal control is applied such as approval of transaction, segregation of duties, etc.
- • Cash Management
Review procedure safeguarding the cash including flow of fund from the bank and petty cash (disbursement and receipt).
- • General and administration
Review travel activity, office management, and record management to determine compliance with organization policy.
- • Asset Management
Review office equipment purchased and also procedure of receipt, storage, and disposal.
- • Human Resources
Review hiring process document, payroll management, attendance control, and performance evaluation; compare against HR policy.
- • Project
All of Indonesia AIDS Coalition’s substantive work is carried out through projects. All expenses directly incurred for a specific project and all restricted revenues applied to a project must be uniquely identified and tracked to the project.
The audit will review how the project set-up and procedure how cost assigned to specific project.
- • Procurement
Review procurement process and the competitiveness, transparency, and effectiveness of its process to ensure good and service purchase comply with organization financial and accounting procedures.
- • Beside in IAC Office in Jakarta, the audit will be conducted in 2 (two) covered areas in Jakarta that have been discussed later as the sample of project for this year.
- 4. Auditor’s qualification
- • The Auditors or Audit team members should hand on experience in conducting audit of international organization or non-profit organization such as Global Fund, USAID, UN Agency, EU, WORLD BANK, and DFAT is a plus
- • The Auditors must possess qualified methodology and work procedure to perform this audit and meet timeline setup.
- • The Auditors or Audit team members must have adequate knowledge of English since organization financial & accounting policy and most of transaction are in English.
- • Curriculum Vitae (CV) of audit firm principal who would be signing the opinion will be provided along with Audit team members. CVs should include details on audits carried out by the applicable staff, including ongoing assignments indicating capability and capacity to undertake the audit.
- • To keep all financial or non-financial information secretly/confidential that Auditors or Audit team members obtain during the assignment and compulsory not to use or disclose without written approval from Indonesia AIDS Coalition
- • Audit Firm should state its legal nature, principal and partners, number of employees, audit experience, affiliation with abroad Audit Firm if any.
- 5. Obligation
A. Indonesia AIDS Coalition
- • Provide financial statement and its related documents
- • Provide any organization information required by Auditor
- • To pay audit fee as stipulated in the agreement.
B. Audit Firms
The Audit firm responsible to perform audit work, includes:
- • To perform the audit professionally and comply with Indonesia Audit Standard, GAAS, and always keep independent.
- • To perform the audit in accordance with Scope of Work setup.
- • To keep Indonesia AIDS Coalition financial and non-financial information confidentially.
- • To provide Auditor’s opinion on audit report, included management letter with the recommendation
C. Audit Report
Audit report would contain the following:
- • Auditor’s Opinion
The Auditor’s opinion would indicate period of financial statement, audit standard applied
- • Adjustment Journal if needed
- • Supplemental Schedules
- – Schedule of Functional Expenses
- – Schedule of Indirect Cost Rate (Facility costs)
- – Schedule of Indirect Cost Rate (General and Administrative)
- • Management Letter
The management letter should cover the following area:
- – An assessment of the organization’s internal control system with equal emphasis on (i) the effectiveness of the system in providing management with useful and timely information for the proper management of the organization and (ii) the general effectiveness of the internal control system in protecting the assets and resources of the organization.
- – A description of any specific internal control weaknesses noted in the financial management of the organization and the audit procedures followed to address or compensate for the weaknesses. Recommendations to resolve/eliminate the internal control weaknesses noted should be included.
The final audit should be issued in 5 (five) hard copies and soft copy of the report.
D. Timing of Process both Bid and Audit
|Bid Announces||Tbc (5 working days)||
Timing of Bid
|Submission of quotation||Tbc (1 working day)|
|Bid Opened||Tbc (1 working day)|
|Bid Winner Announces||Tbc (5 working days)|
|Contract Sign||Tbc (1 working day)|
|Commencement of work : Financial report Period of 01 January to 31 December 2021, including entrance and exit meeting||
Tbc (45 calender days)
|Timing of Audit|
|1st Draft Report||Tbc (5 working days after Commencement of work)|
|Final report||Tbc (5 working days after 1st Draft Report)|
E. Availability of facilities and right to access
The auditor will have full and complete access at any time during the contract to all Indonesia AIDS Coalition records and documents (including books of account, legal agreement, minutes of meeting, bank records, invoices and contract etc) and all employees, consultant, over the period under the audit review.
F. Proposal submission and requirement
Proposal should indicate:
- – Audit firm experience: please outline firm expertise and track record in audit not for profit organization, size of the firm, abroad affiliation if any.
- – Key personnel and Audit Team Member professional qualification, including their audit experiences.
- – References: please list contact information for at least three organizations similar to Indonesia AIDS Coalition that Firm has audited.
- – Please submit your proposal by Date 25 Maret 2022 : tbc at 17:00 to: Procurement IAC to email address [email protected]
G. Fee & Term of payment
Please outline your audit in fee in Indonesia Rupiah (Rp) includes Value Added Tax (VAT) and Income Tax (Article 23) but excluded Out of Pocket Expenses (OPE).
The cost of preparing a proposal and conducting the pre-proposal survey or any meetings for verbal presentations shall be borne by your company, regardless of the conduct or outcome of the solicitation process. Proposals must offer services for the total requirements and the propose of payment term against deliverables. All proposals must remain valid and open for acceptance for a period of 45 (forty-five) days after the date specified for receipt of proposals.